Monday, June 23, 2025
By NEIL HARTNELL
Tribune Business Editor
nhartnell@tribunemedia.net
The Opposition voted against the Maritime Revenue Unit Bill over fears it will revive the previously-abandoned Bahamas Moorings deal under the guise of statute legislation.
Adrian White, the St Anne's MP, confirmed to Tribune Business that the Free National Movement (FNM) has "many concerns" over legislation designed to provide legal standing to the already-established Maritime Revenue Enhancement Unit because some of the powers given to it appear eerily similar to what what Bahamas Moorings was attempting to do.
The Bill, which has been reviewed by this newspaper, seeks to give the Unit "the power to provide mooring services for a fee", as well as install moorings, "set a fee structure" for boats who use them, and conduct "safety inspections of moorings". Mr White said the aborted Bahamas Moorings deal, and the sudden emergence of this Bill alongside the Budget, were "too close for comfort" for the Opposition.
Many of the principals involved in the Bahamas Moorings deal had close ties to government insiders, especially in the Prime Minister's Office, and Mr White confirmed that - during Thursday night's 2025-2026 Budget wrap-up - the Opposition voted against both the Maritime Revenue Unit Bill as well as the VAT (Amendment) Bill 2025 on several grounds.
"There are a number of responsibilities that are being imposed that could be handled in the private sector," the St Anne's MP argued of the Maritime Revenue Bill. "The primary concerns are they are requiring the Royal Bahamas Police Force and Royal Bahamas Defence Force to have responsibility for the collection of waste from vessels as well as monitor fishing.
"They will otherwise carry out services Bahamian businesses in the private sector, especially in the Family Islands, could be attracted to as commercial opportunities to participate in themselves." It is unclear why the Bill's section five empowers a unit, otherwise tasked with law and revenue enforcement, to engage in commercial activities - moorings and waste disposal - that could be left to the private sector.
However, Mr White added that the Opposition's other main worry was that the Maritime Revenue Unit Bill appeared to be an attempt to give the activities planned by Bahamas Moorings Ltd a legal, statutory footing without explicitly saying so.
"The second major concern was this looked as if it was a Bill to get around the public outcry over the controversial Bahamas Moorings lease deal and get it under government control and operations," he told Tribune Business. "They, in a very short time, bring this policy action, which was undoubtedly contrary to the public interest before, back into the picture with legislation.
"That's the major concern. That it's too close to the cancellation. The cancellation and legislation are too close to one another for the Opposition to be comfortable not to see the conflict [with it] being legislated under the same administration.
"You can drive through the Exuma cays now. Not only can you see moorings put in place by the previous group [Bahamas Moorings], but there have been more put down since that deal was cancelled. There is two acres of land in Black Point, Exuma, being occupied by the entity whose lease was cancelled. While that deal was cancelled, all other aspects appear to be ongoing."
The Opposition's stance was yesterday backed by Peter Maury, the Association of Bahamas Marinas (ABM) president, who challenged why responsibility for oversight of the Maritime Revenue Unit was being placed under the Ministry of Finance, and more particularly Simon Wilson, the financial secretary, rather than the Port Department.
Revealing that himself, and many in the maritime industry, view the Bill as giving legal standing to the same business plan proposed by Bahamas Moorings, he added: "It's insane that it's all under the purview of the Ministry of Finance. When did the Ministry of Finance take over the duties of the Port Department...
"Everyone's saying the same thing. We all know what happened in the Moorings deal. I agree with the FNM. It [the Bill] should be thrown out. We presented the same thing to the Ministry of Tourism a couple of years ago for expansion and the promotion of other kinds of maritime business and industry for The Bahamas.
"They've basically taken over what they thought was a good idea for themselves. To be honest, I don't think it's for the good of the Bahamian people. This Bill should be cancelled and the Ministry of Finance should have no say over anything maritime unless it comes from the Port Department because it is good at collaborating with the private sector."
Asserting that the Ministry of Finance is unfamiliar with the maritime industry, how it operates and what its needs are, and has never directly consulted it, Mr Maury added: "For them to get involved in this business is not right and, to be frank, doesn't make sense. Everybody's saying the same thing. Something's afoot. It's causing a lot of trust with all the legislation being proposed."
Other Bills accompanying the Budget also touch on activities that would have been conducted by Bahamas Moorings. For example, the Port Authorities (Amendment) Bill gives the responsible minister, the minister of transport, the power "to establish and regulate the use of anchorage zones" plus "implement and manage marine traffic services for the safe and efficient navigation of boats and watercrafts throughout port areas".
Mr White, affirming that the Opposition had "many concerns" and did not agree with both the Maritime Revenue Unit Bill and VAT (Amendment) Bill 2025, said the Government "understood what the issues" were during discussions between the two sides at the House committee stage and during the process of passing the Budget on Thursday night.
However, no changes were made that night, and it is understood the Opposition will be watching carefully to see if the amendments it is seeking will be made in the Senate when the Budget reaches parliament's upper house today.
The Maritime Revenue Unit Bill, in its 'objects and reasons' section, states: "This Bill seeks to establish the Maritime Revenue Unit. This unit will provide an integrated approach to management and law enforcement of the maritime activities in The Bahamas by bringing together officers from a number of different agencies operate together as co-ordinated unit. This unit hopes to bring greater effectiveness and efficiency to the work of all of the agencies involved."
Bahamas Moorings, as part of its now-aborted lease deal with the Government, committed to installing 250 moorings at 49 locations in the Exumas via an investment worth $2.5m. In return for leasing a total 4,615 acres from the Government for 21 years, with effect from February 1, 2025, it had agreed to pay an annual rent equal to 3 percent of gross revenue collected from boaters plus 10 percent VAT.
The company had proposed to charge fees ranging from $25 to $135 per day depending on vessel length, plus fees of between $170 and $250 per day for “super yachts” mooring at its ‘taper buoys again depending on length.
Anchorage fees ranged from 55 cents per foot per day to $1.10 per foot per day, again depending on boat length. Bahamas Moorings argued that its mooring/anchorage plan would bring order to the present chaos on Bahamian waters by giving boats and yachts designated points where they can tie up, thus preventing damage to the seabed, coral reefs and other ecosystems from anchors dragging.
However, the Bahamas Moorings deal was abandoned within two days, with both the company and the Government agreeing to walk away, after it was publicly exposed. It also emerged that Sandra Kemp, deputy director of communications in the Prime Minister's Office, witnessed the 21-year lease’s signing on behalf of a company in which her husband was one of the principals, even though she is an employee of the Government which is a counterparty in the deal.
The Prime Minister’s Office, in announcing that both sides had “mutually agreed” that the Bahamas Moorings deal would not proceed, said Mrs Kemp’s role in witnessing the lease’s signing is “under review”. It also quickly announced it plans to develop a national moorings strategy and undertake an inventory of existing moorings - moves likely to be an effort to distract from Bahamas Moorings itself.
Philip Davis KC, though, subsequently declined to comment any further on the Bahamas Moorings deal, and Mrs Kemp remains employed in his office in the same position. No results of any "review" have been released publicly.
Tribune Business previously revealed that many of those involved in the Bahamas Moorings Company deal have close links to the Office of the Prime Minister and senior persons who work in it. The two principals named in the lease, in particular, both have long-standing ties to Jerome Fitzgerald, the Prime Minister’s senior policy adviser.
Philip A. Kemp II is a long-time business associate of Mr Fitzgerald, the two having been part of the failed BK Foods attempt to acquire the now-defunct City Markets supermarket chain. They later participated in the Trans-Island Traders deal that acquired the same business just prior to its collapse, with Mr Kemp becoming its chief financial officer. A City Markets-related e-mail, sent to Tribune Business at that time, was also copied to Philip A. Kemp II.
And Raymond Christian Knowles, better known by his middle name, is a boat captain with the ‘Pieces of 8’ tour boat and charter operator, where he is described as “a 30-year veteran on the open waters” who has worked as a commercial fisherman. Mr Fitzgerald, in a 2021 interview with Tribune Business, neither confirmed nor denied when asked whether he had an ownership interest in the company.
There are also further connections involving Bahamas Moorings’ address. This newspaper’s own records, plus a VAT registrants list from 2016, reveal that 138 Wulff Road was also once the home of Bahamas Cargo & Logistics (BCL), a company owned by Mr Fitzgerald’s family.
Tribune Business previously reported yesterday how a bill of lading, detailing Bahamas Moorings’ importation of anchors and link chains from China, gives the company’s address as Suite No.5, 138 Wulff Road. That is now the address of Cubix Bahamas which, like Bahamas Cargo & Logistics, is also a shipping company and freight forwarder.
And Mrs Kemp states on her Linkedin page that she has served as “head of marketing communications” for Cubix Bahamas from March 2018 to the “present”.
Comments
Sickened says...
Ahh, the Fitzgerald Bill being pushed hard by the PLP. It pays to be in politics. Sadly at the expense of ALL Bahamians.
Posted 23 June 2025, 2:18 p.m. Suggest removal
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